VLCCF - Third Quarter 2012 and Nine Months Results

* Knightsbridge reports EBITDA of $4.4 million and EBITDA per share of
$0.18 for the third quarter of 2012.

* Knightsbridge reports total cash at September 30, 2012 of $82.5
million.

* Knightsbridge reports a net loss of $57.0 million and a loss per share
of $2.33 for the third quarter of 2012.

* The net loss of $57.0 million includes a net loss on the sale of a
vessel of $12.7 million and an impairment loss on vessels of $41.6 million.

* Knightsbridge announces a cash dividend of $0.175 per share for the
third quarter of 2012.

* Knightsbridge reports a net loss of $53.2 million and a loss per share
of $2.19 for the nine months ended September 30, 2012.

* The VLCC Hampstead was sold and delivered on September 20.

* The VLCC Titan Venus was sold and delivered on October 9.

THIRD QUARTER 2012 AND NINE MONTHS RESULTS

Knightsbridge Tankers Limited (the "Company" or "Knightsbridge") reports
a net
loss of $57.0 million and a loss per share of $2.33 for the third
quarter
compared to a net loss of $3.3 million and a loss per share of $0.13
for the
second quarter of 2012. The increase in the net loss is primarily due to
a net
loss on the sale of a vessel of $12.7 million in the third
quarter, an
impairment loss on vessels of $41.6 million in the third quarter and
reduced
vessel earnings, which were partially offset by the absence of$5.1 million
loss
that was recorded in the second quarter following the unexpected
termination of
the Golden Zhejiang time charter. The net loss for the quarter also
includes a
loss provision for unpaid charter hire of $3.2 million, which was
recognized as
a reduction of operating revenues, compared with a loss provision of
$5.6
million in the second quarter.

The net loss on the sale of a vessel relates to the VLCC
Hampstead. The
impairment loss on vessels of $41.6 million relates to the VLCC Titan
Venus
($14.7 million), the VLCC Kensington ($13.5 million) and the VLCC Mayfair
($13.4
million). An impairment loss is taken when events or changes in
circumstances
occur that cause the Company to believe that future cash flows for an
individual
vessel will be less than its carrying value and not fully recoverable. In
such
instances an impairment charge is recognized if the estimate of the
undiscounted
cash flows expected to result from the use of the vessel and its
eventual
disposition is less than the vessel's carrying amount.

The average daily time charter equivalents ("TCEs") earned by the
Company's
VLCCs, excluding bareboat charters, and Capesize vessels in the third
quarter
were $1,100 and $22,800, respectively, compared with $20,100 and $9,100
in the
preceding quarter. The fall in the TCE rate for the VLCCs is mainly
due to
weaker rates in the third quarter and a reduction in trading days as a
result of
the sale of the Hampstead. The improvement on the TCE rate for the
Capesize
vessels is mainly due improved earnings from the Golden Zhejiang for which
there
were large write offs in the second quarter following the unexpected
termination
of its time charter contract. In November 2012, the Company has an average
cash
breakeven rate for its VLCCs and Capesize vessels of $14,200 and
$8,600,
respectively, per vessel per day.

Cash and cash equivalents increased by $18.7 million in the quarter. The
Company
generated cash from operating activities of $10.4 million, received
$26.7
million from the sale of vessels, used $14.1 million to repay loan
facilities
and paid $4.3 million in dividends.

The Company reports a net loss of $53.2 million and a loss per share of
$2.19
for the nine months ended September 30, 2012. The net loss includes a net
loss
on the sale of a vessel of $12.7 million, an impairment loss on vessels of
$41.6
million and a loss provision for unpaid charter hire of $10.5
million. The
average daily TCEs for the Company's VLCCs, excluding bareboat
charters, and
Capesize vessels for the nine months ended September 30, 2012 were
$15,000 and
$22,500 respectively.

THE TANKER MARKET

The market rate for a VLCC trading on a standard 'TD3' voyage
between the
Arabian Gulf and Japan in the third quarter of 2012 was WS 36,
representing a
decrease of approximately WS 19 point from the second quarter of 2012
and a
decrease of approximately WS 22 points from the third quarter of 2011.
Present
market indications are approximately $5,500 per day in the fourth
quarter of
2012.

Bunkers at Fujairah averaged $650/mt in the third quarter of 2012
compared to
$662/mt in the second quarter of 2012. Bunker prices varied between a
low of
$590/mt on July 2 ( )and a high of $697/mt on September 4.

The International Energy Agency's ("IEA") October 2012 report stated an
OPEC oil
production, including Iraq, of 31.4 million barrels per day (mb/d) in the
third
quarter. This was unchanged compared to the second quarter of 2012.

The IEA estimates that world oil demand averaged 90.1 mb/d in the third
quarter
of 2012, which is an increase of 1.3mb/d compared to previous quarter
and the
IEA estimates that world oil demand will average approximately 89.7
mb/d in
2012, representing an increase of 0.9 percent or 0.8 mb/d from 2011. 2013
demand
is expected to be 90.5 mb/d.

The VLCC fleet totalled 617 vessels at the end of the third quarter of
2012, up
from 610 vessels at the end of the previous quarter. 10 VLCCs were
delivered
during the quarter, three were removed. The order book counted 91 vessels
at the
end of the third quarter, down from 95 orders from the previous
quarter. The
current order book represents approximately 15 percent of the VLCC
fleet.
According to Fearnleys, the single hull fleet is 22 vessels, one less than
last
quarter.

THE DRY BULK MARKET

The global economy is still under pressure lead by continuous weak data
from the
Euro Area. IMF has since their last quarterly report lowered its growth
forecast
for 2012 and 2013 with 0.2 and 0.3 percent and is expecting a growth of
3.3 and
3.6 percent respectively.

Chinese growth, the most important for the dry bulk industry, is
unofficially
reported to have increased by 7.4 percent which is in line with
expectations.
Preliminary data for U.S. growth is showing an increase of two percent,
slightly
above expectations.

In the previous quarter's dry bulk section we referred to the
Chinese
Authorities' proactive approach and potential new stimulus package on the
back
of lower inflation. In September 2012 a package of RMB 1 trillion was
announced,
equivalent to USD 150 billion. The stimulus packages will
focus on
infrastructure such as highways, railways and waterways and should
have a
positive effect on steel demand. The steel sector is accounting for
almost 50
percent of the dry bulk trade. This had an immediate positive
effect on
international iron ore prices which had been under pressure until
the
announcement.

The demand for dry bulk transportation declined by 0.7 percent during
third
quarter compared to the second quarter of 2012, however it increased by
5.4
percent compared to same quarter in 2011.

China imported 183 million tons of iron ore during the third quarter of
2012 or
730 million tons on an annualized basis against 680 million tons of
iron ore
imported during 2011.

CIO, CTO & Developer Resources

Increase of coal imports to China is slower compared to the two previous
years
and the country will most likely end up at around 215 million tons in 2012
which
represents a 5 percent growth. The main reason for lower coal imports is
higher
energy production from hydro power.

The utilization of the dry bulk fleet is till low due to continuous
deliveries
of new buildings to the market. Approximately 15 million dwt. was
delivered
during third quarter which represents an increase of two percent
compared to
deliveries in the previous quarter and 13 percent compared to the same
quarter
in 2011.

Scrapping so far in 2012 has already passed the record high volume of
2011 and
it is expected that total scrapping could reach 32 million dwt. for the
full
year. 77 Capesize vessels have been reported sold for scrap so far this
year
which is an encouraging number and average scrap age is on its way
down. In
spite of the high number of dry bulk vessels being sold for
demolition, the
scrap prices have been quite stable. New and modern scrap yard capacity
will be
available in China by the end of this year.

The total order book of 125 million dwt. represents approximately 18
percent of
the existing dry bulk fleet. New orders being placed so far this year are
almost
non existing. The official order book for 2014 stands at 20 million dwt.
against
an estimated total delivery of more than 115 million dwt. new capacity
this
year. The input is based on an average from four independent analysts.

THE FLEET

In September 2012, the Company announced that the sale of the VLCC
Hampstead was
not completed due to the buyer's default. The sale was, therefore,
cancelled and
the Company retained the deposit received in the amount of $2.4
million. The
VLCC Hampstead was then remarketed for sale and was sold with delivery
to the
new buyer on September 20. This sale resulted in a loss of $15.1 million.
These
amounts comprise the net loss on sale of a vessel of $12.7 million,
which was
recorded in the third quarter.

In September 2012, the Company also announced that the VLCC Titan Venus had
been
sold to an unrelated third party and was delivered to its new owners on
October
9. The Company has recorded an impairment loss on this vessel of $14.7
million
in the third quarter.

The long term charter contract for the VLCC Mayfair was terminated
by the
Company in October 2012. The bare boat contract was initially for five
years
ending July 2015. The charterer failed to adhere to the contract and the
vessel
has been redelivered to the Company. The Company has a guarantee from the
parent
company of the charterer. The Company has a claim for unpaid hire and will
seek
recovery of damages for the remaining period of the charter
contract. The
Company is in the process of finding alternative employment for the vessel.

CORPORATE AND OUTLOOK

The Company's fleet consists of four Capesize vessels and two VLCCs. The
sale
of the two VLCCs is part of the Company's intention to renew and grow the
fleet
and may assist the Company in reacting to interesting acquisition
opportunities.

The Company is looking into investment opportunities in the dry bulk
segment
where the risk/reward ratios look attractive

The Board has decided to declare a dividend of $0.175 per share. The record
date
for the dividend is November 23, 2012, the ex dividend date is
November
28, 2012 and the dividend will be paid on or around December 12, 2012.

24,437,000 ordinary shares were outstanding as of September 30, 2012,
and the
weighted average number of shares outstanding for the quarter was
24,437,000.

FORWARD LOOKING STATEMENTS

Matters discussed in this press release may constitute
forward-looking statements. The Private Securities Litigation Reform Act
of 1995 provides safe
harbor protections for forward-looking statements in order to
encourage
companies to provide prospective information about their business.
Forward-looking statements include statements concerning plans,
objectives, goals,
strategies, future events or performance, and underlying assumptions and
other
statements, which are other than statements of historical facts.

Knightsbridge desires to take advantage of the safe harbor provisions
of the
Private Securities Litigation Reform Act of 1995 and is including
this
cautionary statement in connection with this safe harbor legislation. The
words
"believe," "except," "anticipate," "intends," "estimate," "forecast,"
"project,"
"plan," "potential," "will," "may," "should," "expect" "pending" and
similar
expressions identify forward-looking statements.

The forward-looking statements in this document are based upon
various
assumptions, many of which are based, in turn, upon further
assumptions,
including without limitation, our management's examination of
historical
operating trends, data contained in our records and other data available
from
third parties. Although we believe that these assumptions were reasonable
when
made, because these assumptions are inherently subject to
significant
uncertainties and contingencies which are difficult or impossible to
predict and
are beyond our control, we cannot assure you that we will achieve or
accomplish
these expectations, beliefs or projections.

In addition to these important factors, important factors that, in our
view,
could cause actual results to differ materially from those discussed
in the
forward-looking statements include the strength of world economies
and
currencies, general market conditions, including fluctuations in
charterhire
rates and vessel values, changes in demand in the tanker market, as a
result of
changes in OPEC's petroleum production levels and world wide oil
consumption and
storage, changes in Knightsbridge's operating expenses, including bunker
prices,
drydocking and insurance costs, the market for Knightsbridge's
vessels,
availability of financing and refinancing, changes in governmental
rules and
regulations or actions taken by regulatory authorities, potential liability
from
pending or future litigation, general domestic and international
political
conditions, potential disruption of shipping routes due to
accidents or
political events, and other important factors described from time to time
in the
reports filed by Knightsbridge with the Securities and Exchange Commission.

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